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W. Africa Crude-Sonangol seeks to sell several cargoes but buyers hold out

Published 02/10/2019, 17:11
Updated 02/10/2019, 17:21
© Reuters.  W. Africa Crude-Sonangol seeks to sell several cargoes but buyers hold out

LONDON, Oct 2 (Reuters) - Angolan state oil company Sonangol

sought to sell three of its cargoes for November at relatively

high prices but buyers resisted, as lackluster Asian demand has

caused slow trading.

ANGOLA

* Sonangol was offering a cargo of November-loading Cabinda

at a premium of $3.50 above dated Brent, but Chevron offered its

own cargo of Cabinda for 40 cents less, with only a few days

separating the scheduled export days of the two cargoes.

* Around three or four cargoes remain for export in October

and a little over a dozen for November.

* Some traders saw that price offerings more reflected the

prices for those grades in previous months rather than the

reality of a market with steep freight rates and flat margins.

* Sonangol was also seeking to sell Gindungo and Dalia.

NIGERIA

* At least 15 cargoes of October-loading crude remain for

export, as reduced prices have largely met buyer expectations,

increasing the pace of sales in recent days.

* Freight rates for U.S. crude tankers bound for Asia were

bid up to a more than three-year peak this week as U.S.

sanctions on a Chinese transport giant cut vessel availability.

TENDERS

* No award was made for a tender by South African refiner

Astron which closed for a cargo delivering on Nov. 22-23.

* India's IOC was running tenders for two cargoes of West

African crude for November delivery set to close later this

week.

RELATED NEWS

* U.S. gasoline stocks USOILG=ECI fell by 228,000 barrels,

compared with analysts' expectations in a Reuters poll for a

449,000-barrel gain. * Russian oil output C-RU-OUT edged down to 11.25 million

barrels per day (bpd) last month from August's 11.29 million bpd

but remained above the caps set under a global production deal.

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